Q1 2014 – Government Contractor Market Update
February 19, 2014 - By: SC&H Group
SC&H Group is pleased to announce the release of the Q1 2014 Government Contractor Market Update.
In December 2013, lawmakers passed a budget bill that will fund federal operations at about $1 trillion annually for the next two years, and in doing so averted another government shutdown. In addition, the National Defense Authorization Act for fiscal 2014 was also passed, which authorizes a Pentagon base budget of $526.8 billion for this year. Many view this deal as being the tool that could minimize the impact of sequestration on the DoD — by allowing defense spending to increase by $63 billion in fiscal 2014 and 2015.
With these bills passed, what does the future hold for the government contracting community? 2013 was clearly a challenging year for everyone. However, with the new budget clarity, things could be looking brighter in 2014 – especially with regards to M&A activity, which is expected to increase as buyers are hungry for attractive deals.